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Thursday, March 29, 2007
Trust - It's A Yes Or No Thing
There seems to be no gray area when it comes to trusting and being trusted. Many things affect our decision to trust - past experience, new information, attitude towards risk - but one thing is certain: if trust is betrayed, it is more likely to be withheld in the future.
Are you fostering a culture of trust in your organization? By trust, I mean believing that people will say and do the right things for the right reasons.
According to many studies, organizations with a high trust factor are far more likely to have superior financial performance, so besides being something nice to have, there are serious economic implications for a work environment grounded in mutual trust. In his book "The Speed of Trust", Stephen M.R. Covey explains this using two very simple equations: "When trust goes down, speed will go down and cost will go up. That's a tax. When trust goes up, speed goes up, cost goes down. That's a dividend." Think about it. For example, when you micromanage the work of someone you've hired specifically for their expertise, time is wasted on unnecessary conversations, rework, multiple reviews, and jumping through approval hoops. That time - yours and theirs - costs. Productivity is greatly diminished and the speed of decision-making resembles the last runner in a marathon - finally there, but who cares anymore?
A recent study by Watson Wyatt Worldwide indicated only 49% of employees reported having trust and confidence in the performance of senior management, down from 51% in 2004. The results aren't surprising given the rash of widely publicized corporate scandals. Trust, according to Covey, is about character as well as competence. In a recent interview in Workforce Management he said, "You can do a lot about this. You can establish trust. You can grow it. You can restore it."
If a survey was taken today in your organization on the three important aspects of trust, how do you think people would answer these questions about you?
Integrity: Are you telling me the truth?
Credibility: Do you know what you're doing?
Sincerity: Do you care?
The answers will either be "YES" or "NO."
Are you fostering a culture of trust in your organization? By trust, I mean believing that people will say and do the right things for the right reasons.
According to many studies, organizations with a high trust factor are far more likely to have superior financial performance, so besides being something nice to have, there are serious economic implications for a work environment grounded in mutual trust. In his book "The Speed of Trust", Stephen M.R. Covey explains this using two very simple equations: "When trust goes down, speed will go down and cost will go up. That's a tax. When trust goes up, speed goes up, cost goes down. That's a dividend." Think about it. For example, when you micromanage the work of someone you've hired specifically for their expertise, time is wasted on unnecessary conversations, rework, multiple reviews, and jumping through approval hoops. That time - yours and theirs - costs. Productivity is greatly diminished and the speed of decision-making resembles the last runner in a marathon - finally there, but who cares anymore?
A recent study by Watson Wyatt Worldwide indicated only 49% of employees reported having trust and confidence in the performance of senior management, down from 51% in 2004. The results aren't surprising given the rash of widely publicized corporate scandals. Trust, according to Covey, is about character as well as competence. In a recent interview in Workforce Management he said, "You can do a lot about this. You can establish trust. You can grow it. You can restore it."
If a survey was taken today in your organization on the three important aspects of trust, how do you think people would answer these questions about you?
Integrity: Are you telling me the truth?
Credibility: Do you know what you're doing?
Sincerity: Do you care?
The answers will either be "YES" or "NO."
# posted by gopi @ 8:53 PM 
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